Knowledge that Transforms

latter provinces, and the local public expenses in the former are the same as in the latter. In certain communes some imposts which fall upon special classes are heavier, and in others where these social classes hold the administrative power these forms of taxes scarcely exist, or do not exist at all. Thiers has remarked that in 1789 wherever the communes enjoyed some liberty they soon fell into a condition of bankruptcy. Now the acts of J888 and 1894 enlarged the power of the English local bodies, and the freedom given to these local bodies in the classic land of liberalism has produced communal socialism; that is, a prodigious development of public expense, and the administrative disorder which has doubled the public debt in a few years. In Italy, in spite of the fact that local liberty is restricted, the function of some local public bodies has increased extraordinarily, and the wealth which these local bodies demand from the citizens is increasing irregularly. It is strange that somie wish to increase this liberty, when the experience of all countries shows that, far from securing a better administration, it reduces the municipality to distress, and extorts from its citizens enormous wealth which they ought to employ in satisfying their urgent needs. This wealth the local public bodies expend on public adornment more or less stupid, sacrificing it to the new "Goddess of Hygiene " and scarcely ever using it to satisfy any true social needs.! Such, briefly, is the work of Municipal Socialism in Europe.

IN new countries the question of transportation plays an important part, and the conscious policy manifested by the government is worthy of close scrutiny, not only because of its interest as a study in beginnings, but also because of the influence it exerts on later developments.

During the Civil War there were in New Yol-k four regular markets where gold was bought and sold: the stock exchange, the "open board," the gold exchange, and Gallagher's evening exchange.

THE report of the Massachusetts Tax Commission" of I 896, recently subrmitted, is a noteworthy document. It marks the highest point yet reached by an American commission in the discussion of problems of state and local taxation. Among the two score of American reports on taxation it is distinguished by its statesmanlike grasp of fundamiiental problems and principles, and its scholarly acquaintance with modern ideas. Other reports occasionally surpass it in the treatment of special questions. The New York report of I871 went much deeper into the legal intricacies of taxation. The Ohio report of I893 treats miore fully of the methods of taxing corporations. But none has gone so directly to the heart of the whole subject and occupied itself so exclusively with salient features. This was, no doubt, chiefly due to the character of the commission, in the composition of which rare judgmnent was shown. The coimmission was not a comimittee of the legislature, but was appointed by the governor from persons who seemed particularly suited to help in its work. The bench, the business comimiunity, the farmiers, the workingmnen, the professional students of taxation, were, each, represented by a memnber on the commission -the last named through Professor Taussig, of Harvard University.2 It was an unusual commission, therefore; and, having undertaken its work in a large spirit, its conclusions are of m-lore than local interest. No apology seem-is necessary for presesenting themi to the readers of the